Question

Giving a hypothetical example explain the situation when the consumer “krishna” will maximize his

satisfaction. What will happen if he continues to buy more units? Krishna came to you and asked for

suggestions in regard to the consumption of more units after attaining the point of equilibrium. Suggest

him what should he do in such a situation. in ditail
​

Answer 1

Answer:

mjdmshlhsgxsyoeykhosyosgncnsgejfnzjfejsvhqruafjafj

tkssvjsgagsgnc

wgjgnkwsgwtjk

sgoyekegskgmekwknsgjeafhtjewjw

Explanation:

nwtg

sgkgsasgmsnajag

jajsk

kwgksgjssgsgkgks

fhjwjrhwykegkeykk

kehek

ke

egkkeg

ehkeh

eh

Lee

w

Answer 2

If more units are bought the marginal utility will become negative and total utility will fall.

• Most of the commodities give a declining marginal utility.

• The law of decreasing marginal utility shows that as more units of a product are absorbed, the amount of satisfaction gained from every extra quantity decreases.

• Since customers are less pleased with purchasing additional units of a good, they will only purchase more of a specific commodity if its price falls.

• Thus, since Krishna has reached the equilibrium/saturation point he will getno longer enjoyment from it and must leave the product.